Mega plans listing on NZ stock exchange

New Zealand-listed TRS Investments is poised to acquire 100% of the shares on issue in online storage site Mega, funded by the issue of TRS shares.

The move will effectively list Mega, founded by controversial internet figure Kim Dotcom, on the NZ Stock Exchange (NZX).

TRS told the NZX this morning it will acquire the shares for $210 million, to be satisfied by the issue of 700 million new shares in TRS to the existing shareholders of Mega at an issue price of 30 cents per share. Following the acquisition, the existing shareholders of Mega will hold approximately 99% of the shares on issue in TRS.

It does this through browser-based User Controlled Encryption (UCE), automatic encryption for all data transferred to and stored on Mega’s cloud service.

"UCE means that only the user controls the encryption key. This provides a level of privacy and security that is unique, and allows Mega to position itself as 'The Privacy Company',"a statement to the NZX says.

Mega was launched on 20th January 2013 and claims 7 million registered users and new user registrations of over 20,000 a day.

The company expects to release encrypted instant messaging and encrypted chat and video conferencing in the second quarter of 2014. Development of an encrypted email service is also said to be planned.